Car Buying and Financing Tips for New College Graduates

By the time you graduate college, there is a good chance that you are ready for a new car. Many of us remember our college car as a vehicle with very few bells and whistles, but we were just happy if it got us from point A to point B. Now that you have a graduated and are starting a new career, it’s time to get something that you are proud to drive around. Here are some tips to buying a car when you get out of college.

Buy something fun, but practical

When you first step on the car lot, you are going to be tempted to buy that glistening brand new sports car, but in reality you probably shouldn’t. Get something that fits all your needs, gets decent gas mileage, and is reliable. If you are the outdoorsy type, consider a small SUV that can get you to your next hiking destination. If you need your car primarily for commuting to work, get a small sedan that gets good gas milage and can pack your friends around. Once you have settled on a vehicle you like, check into finding a pre-owned version. Buying used will save your money compared to new, and will keep your payments more manageable leaving you money for other things (like rent and groceries).

Check for Rebates

If a used car isn’t for you and you decide on a new vehicle, make sure to check for College Graduate Rebates. Many auto manufacturers offer rebates to new college graduates to help them get started in the working world. Finding out who offers rebates can be as easy as going to the automaker’s website and entering your zip code. Sometimes the rebates aren’t much, but every little bit helps.

Get a Cosigner if Possible

If you just graduated college, there is a good chance that you don’t have a lot of credit. This can make it more difficult to buy a vehicle. There are steps you can take to building your credit like getting a credit card, but you might not want to wait until this takes effect. Your best bet for buying your next car might be finding a cosigner. A cosigner is someone who also signs on the auto loan to help take responsibility in case payments are delinquent. This can usually be done by a parent or other close family member with good credit.

Get a good finance rate

Your finance rate helps determine how much you will pay each month on your vehicle. The lower the rate the better (for example, a 5.9% finance rate is better than a 6.9% rate.) It’s important to get a low finance rate in order to keep your payments low. If you are interested in applying for an auto loan in Western Washington area, contact Washington Auto Credit today. Our professionals can help you get the best rate possible on your next vehicle loan.